US stocks shake off a wobbly start and end mostly higher

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U.S. stock indexes closed mostly higher today, though the S&P 500 posted its first weekly loss in four weeks.

The benchmark index eked out a 0.3% gain after another day of wobbly trading. The Dow Jones Industrial Average finished with a small loss. Gains in communication services, health care and other sectors outweighed a decline in technology and energy companies. Treasury yields remained near their highest levels since June.

The S&P 500 rose 11.90 points to 3,465.39, it’s second straight gain. The Dow Jones Industrial Average dropped 28.09 points, or 0.1%, to 28,335.57. The Nasdaq composite, which is heavily weighted with technology stocks, gained 42.28 points, or 0.4%, to 11,548.28. The index had been down 0.6%. Investors are hoping for another round of government aid for businesses and millions of people who have lost their jobs during the coronavirus pandemic. The last round of supplemental aid for unemployed Americans expired at the end of July.

“You have political incentives going on right now to try and get something done,” Bruno said. “Once the election has passed, depending on the outcome, maybe some of those political incentives shift. It scrambles the deck quite a bit.” Uncertainty over whether Uncle Sam will provide more support for the economy was overshadowing solid earnings reports from big companies. While many have reported profits for the summer that took a hit from the coronavirus-caused recession, their results have been mostly not as bad as feared.

Drugmaker Gilead rose 0.2% after U.S. regulators gave formal approval to its antiviral drug remdesivir to treat patients hospitalized with COVID-19.

 

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